An optimal decentralized congestion avoidance algorithm for TCP is developed by applying optimal control theory to an abstracted model of a bottlenecked TCP connection. A stochastic model of the cross-traffic, both TCP and non-TCP, on the bottleneck link is employed and the model's parameters are estimated using an LMS algorithm. The problem is formulated so as to maximize the utilization of the available link capacity while minimizing the probability of buffer overflow and underflow and ensuring weighted fairness among multiple TCP connections. Discrete-event simulation results are presented that show that the algorithm performs in accordance with theory, thereby supporting the correctness of the abstracted model.
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